Compared with many people, as many people should know, BYD not only builds cars, but also has a wide range of foundry business, especially in the electronics industry, with strong manufacturing capabilities. Most of the spare parts of BYD's new cars are manufactured independently, so BYD Automobile can obtain higher profits and control the cost of new cars more than those car companies that purchase spare parts. Recently, BYD has begun to move a lot.
In the middle of last year, BYD Chairman Wang Chuanfu publicized its e-platform 3.0 with a high profile, and BYD Auto not only improved the intelligence of new cars through this platform, but also told peers that this platform is open and can be OEM to the outside world.
Why does BYD have the idea of oeming other new energy vehicles? Because there are already car companies that have tasted the sweetness. Speaking of foundry, I have to mention Jianghuai Automobile, the sales volume of Jianghuai Automobile is really not bad, since 2017, it has been losing money continuously, and the financial statements in 2020 actually show that the turnaround is profitable, and the largest source of profit is OEM for Weilai Automobile. In fact, the years when the profits of Jianghuai Automobile have risen rapidly have also been a few years when Weilai automobile sales have risen sharply.
For Jianghuai Automobile, OEM for Weilai is definitely a business that can not lose money. And according to industry estimates, the average price of a car in Jianghuai is about 8,000 yuan to 9,000 yuan, which is lucrative and much cooler than selling a car. In 2021, there is a very interesting value, that is, the production volume of Jachuai pure electric vehicles is 134,000 units, of which 93,000 are OEM Weilai cars, while the number of its own new cars is only about 40,000.
Therefore, in the future, many weak car companies may really become roles similar to Foxconn and become big foundries. For some new energy vehicle companies, it is naturally a good thing, without having to buy land to buy equipment, you can light up, and these traditional car companies themselves have a weak voice, which is definitely an advantage for the new forces of car manufacturing, and the two are in agreement.
BYD Automobile is also looking at this business that makes no loss, so it opens its foundry business to the market. At present, BYD has signed a large OEM order, that is, Didi plans 1 million vehicles.
Although BYD's platform-based car manufacturing can further reduce costs and improve profits, BYD itself has good sales and has an extremely strong performance, while some potential new energy vehicle companies are worried about being stuck in the neck in the later stage, after all, new cars have directly competed with BYD.
In fact, not only ISD is promoting its own foundry business, including Geely, Baidu and Volkswagen, Toyota is promoting its own platform business, which is a completely new market, and there is almost no risk.
In addition to making money, BYD Automobile and Geely Automobile are actually promoting their own platform architecture to the market, and large-scale foundry business can quickly reduce the cost of spare parts and platforms, making new cars more competitive.